Africa Americas Asia-Pacific/the Middle East

www.simon-kucher.com

AfricaCairoAmericasAtlanta, Boston, Chicago, Houston, Mexico City, New York, San Francisco, Santiago de Chile, São Paulo, Silicon Valley, TorontoAsia-Pacific/the Middle EastBeijing, Dubai, Hong Kong, Shanghai, Singapore, Sydney, TokyoEuropeAmsterdam, Barcelona, Berlin, Bonn, Brussels, Cologne, Copenhagen, Frankfurt, Geneva, Hamburg, Istanbul, London, Luxembourg, Madrid, Milan, Munich, Oslo, Paris, Stockholm, Vienna, Warsaw, Zurich

Consumers are key players for a sustainable future

Global Sustainability Study 2021

October 2021

Agenda

Executive summary

About the study

Evidence to support findings

Simon-Kucher & Partners at a glance

Simon-Kucher & Partners | Global Sustainability Study 2021 l Consumers are key players for a sustainable future 2

Source: Simon-Kucher & Partners; Global Sustainability Study 2021 (N=10,281)

Executive summary

Simon-Kucher & Partners | Global Sustainability Study 2021 l Consumers are key players for a sustainable future

Attitudes towards sustainability

1.1 Across the globe, there is no difference in importance across the UN Sustainability Development Goals. Goals across social and environmental causes are equally important (77-78%).

1.2 Overall, 63% of consumers have made modest to significant shifts towards being more sustainable in the past five years (counting consumers that have also made minor changes, 85% have become 'greener' in their purchasing). However, this shift is not uniform across generations. 41% of Baby Boomers and 38% of Gen. X have not or have only made minor changes to their behavior whereas 32% of Millennials have significantly changed their behavior towards being more sustainable.

1.3 We see differences in how sustainability affects purchase decisions across generations. 33% of Millennials choose a sustainable alternative when available, whereas older generations are less likely to actively choose sustainable alternatives (24-29%).

1.4 Consumers see themselves as the number one actor towards bringing positive environmental change (29%), closely followed by for-profit companies (22%) and international political actors (22%), all of which play key roles in advancing sustainability. To win with consumers, for-profit companies will need to act on growing sustainable trends if they have not done so already.

2.1 In a vacuum, sustainability is an important purchase criterion for: 1) Energy/utilities (74%); followed by 2) Construction/home (66%), Consumer goods (63%), Travel and tourism (62%), Automotive (61%); and 3) Financial services (44%).

2.2 50% of consumers rank sustainability as a top 5 value driver, which demonstrates its increasing relative importance during the purchase process and the role it playsas a key differentiator in the overall value proposition. Furthermore, those consumers that see themselves as drivers for change, rank the importance of sustainability even higher than those who do not.

2.3 A lack of in-depth education causes consumers to use defaults or proxies when making sustainable decisions. For example, consumers use the lifespan or durability of a product as a proxy for sustainability within consumer goods, automotive and construction/home. Similarly, they draw parallels to sustainability through raw materials used and emissions generated for energy/utilities, and the offsetting of emissions for travel and tourism.

Importance of sustainability

3.1 While the majority of consumers are not willing to pay more for sustainability, there is still a sizeable group where 34% of consumers self-reported that they are willing to pay more for sustainable products/services. A higher share of Gen. Z (39%) and Millennials (42%) are willing to pay for sustainability compared to Gen. X (31%) and Baby Boomers (26%). This ranges form 29-39% depending on the industry.

3.2 In terms of how much, Gen. Z (32%) and Millennials (31%) are willing to pay over twice as large of a premium for sustainability in their products/services relative to Baby Boomers (14%) and a third more relative to Gen. X (21%).

Willingness-to-pay for sustainability

3

Source: Simon-Kucher & Partners; Global Sustainability Study 2021 (N=10,281) | Image: COLOURBOX/-

TODAYConsumers send a clear signal: Sustainability will continue to become the expectation rather than the exception

of global consumers feel that environmental sustainability is important, they like the idea of being sustainable, and want to live more sustainable lives

ASPIRE

COMMIT

PRIORITIZE

SPEND

78%

of global consumers have made modest to significant changes to their consumption behaviors over time in an effort to live more sustainablyHowever, counting consumers that have also made minor changes, 85% have become 'greener' in their purchasing.

63%

of consumers rank sustainability as a top 5 value driver on average across categories, which means it is an important purchase criteria and is a key differentiator in the overall value proposition

50%

of all consumers self-reported that they are willing to pay more for sustainable products/services while the remainder are not

34%



FUTURE OUTLOOKCommercial implications: Companies must transform their businesses NOW in order to stay relevant for the future

Mission-driven, “green” companies continue to thrive but traditional businesses are still experiencing growth without being sustainable

Companies that offer sustainable products/services will continue to disrupt traditional players and become the leaders in their industry

Businesses that do not transform to be sustainable will likely become irrelevant in a world that demands sustainable products and services

TIME

WTP

CONCLUSIONFor companies to survive, they must innovate and transform their business practices to become sustainable now rather than later as the speed of change will continue to accelerate

TodayINFLECTION POINT

Mid-termDIFFERENTIATION

Long-termTABLESTAKES

Although the number of consumers who care about sustainability continues to grow, there is a downward trend in the number of consumers that are willing to pay more for sustainable goods

Sustainability will continue to become a primary purchase driver especially as the consumers shift towards younger generations. Companies with sustainable offerings at competitive prices will be at an advantage and will continue to steal market share

Over time, sustainability will become table stakes as consumers will see it as an expectation rather than the exception in the products and services they purchase


Agenda

Executive summary

About the study





Methodology and sample of this study


Willingness-to-pay for sustainability

Sample

Timing

Online survey conducted by Simon-Kucher & Partners, fielding through panel data provided by Dynata, independent market research agency

Survey consisted of three sets of questions: 1) Demographics; 2) General questions per practice; 3) Industry specific questions

Questions on 17 different product/service categories of the following industries: Consumer goods, Automotive, Travel & tourism, Energy/utilities, Financial services and Construction/home

Research topics included: Attitude towards sustainability, importance of sustainability and willingness-to-pay for sustainability

Global set of consumers/customers from 17 countries

Representative quotas set for age, gender, living area, education level, employment status & income level

Fielding from 07/12/2021 to 07/25/2021

7

Source: Simon-Kucher & Partners; Global Sustainability Study 2021 (N=10,281); USA (N=1,062), Germany (N=1,022), Denmark (N=771), Sweden (N=757), Brazil (N=539), China (N=516), Japan (N=516), Spain (N=515), Switzerland (N=514), UK (N=513), Australia (N=510), Austria (N=510), France (N=510), the Netherlands (N=510), Norway (N=506), Italy (N=506), UAE (N=504)

Demographics: Globally surveyed 10,281 consumers across all generations on attitude, importance and willingness-to-pay for sustainability (1/2)


9%

33%

28%

30%

Generation Z

Millennials

Generation X

Baby boomers

Generation split18%

22%

18%

17%

26%

18-29

30-39

40-49

50-59

60+

Age split

Female, 48%

Male, 51%

Other, 0%

Gender split

Source: Simon-Kucher & Partners; Global Sustainability Study 2021 (N=10,281); Income split: Low: <$50k, Middle: 50k to <150k, High: ≥$150k; Education level split: Low: Incomplete Secondary (high school) Education, Middle: Secondary (high school) Education, High: Some College, University, Technical School or Further Education

Demographics: Globally surveyed 10,281 consumers across all generations on attitude, importance and willingness-to-pay for sustainability (2/2)


Low, 37%

Middle, 39%

High, 24%

Income split46%

19%11%

8%8%

4%4%

Employed full-timeRetired

Employed part-timeUnemployed

Full-time studentFreelance

Other

Employment split

Low, 14%

Middle, 35%

High, 51%

Education level split

Rural, 20%

Suburban, 29%

Urban, 51%

Living area split

Agenda

Executive summary

About the study




2%

2%

2%

3%

3%

3%

17%

16%

17%

33%

35%

34%

44%

43%

43%

Social

Environmental

Total

78%

77%


Source: Simon-Kucher & Partners; Global Sustainability Study 2021 (N=10,281); Aggregation of answers to Q: In 2015, the United Nations established 17 Sustainable Development Goals for countries to strive toward in an effort to create a better future.Please evaluate a selection of these sustainable development goals on how important they are to you

Importance of the UN Sustainability Development Goals (per category)Attitudes towards sustainability | 1.1

Across the globe, there is no difference in importance across the UN Sustainability Development Goals. Goals across social and environmental causes are equally important (77-78%).

Not important at all Slightly unimportant Neutral Slightly important Extremely important

11


Source: Simon-Kucher & Partners; Global Sustainability Study 2021 (N=10,281); Q: In 2015, the United Nations established 17 Sustainable Development Goals for countries to strive toward in an effort to create a better future. Please evaluate a selection of these sustainable development goals on how important they are to you

Importance of the UN Sustainability Development Goals (detailed)Attitudes towards sustainability | 1.1

Across the globe, there is no difference in importance across the UN Sustainability Development Goals. Goals across social and environmental causes are equally important (77-78%).

3%

3%

2%

3%

2%

2%2%

2%

1%

2%

1%

5%

4%

3%

4%

3%

3%

3%

3%

2%

3%

3%

22%

21%

19%

15%

17%

16%

16%

16%

16%

15%

13%

35%

32%

40%

29%

33%

34%

35%

35%

36%

36%

30%

35%

40%

36%

48%

45%

44%

44%

44%

44%

44%

52%

Reduced Inequality

Gender Equality

Resp. Consumption and Production

Climate Action

No Poverty

Life Below Water

Life on Land

Peace and Justice Strong Institutions

Quality Education

Affordable and Clean Energy

Zero Hunger

Not important at all Slightly unimportant Neutral Slightly important Extremely importantEnvironmental SDGs

12


Source: Simon-Kucher & Partners; Global Sustainability Study 2021 (N=10,281); Q: To what degree have your purchasing behavior and choices shifted towards buying more products over the past 5 years?

Shift in purchase behavior past 5 yearsAttitudes towards sustainability | 1.2

Overall, 63% of consumers have made modest to significant shifts towards being more sustainable in the past five years (countingconsumers that have also made minor changes, 85% have become 'greener' in their purchasing). This shift is not uniform across generations. 41% of Baby Boomers and 38% of Gen. X have not or have only made minor changes to their behavior whereas 32% of Millennials have significantly changed their behavior towards being more sustainable

12%

12%

15%

19%

15%

26%

21%

23%

22%

22%

38%

35%

38%

35%

37%

20%

27%

20%

20%

22%

4%

5%

4%

4%

4%

Generation Z

Millennials

Generation X

Baby Boomers

Total

No change Minor change Modest change Significant changeTotal lifestyle

change

85%63%

24%

24%

32%

41%

38%

Gen. Z not considered because of lower purchase possibilities past 5 years vs. other generations

13


Note: 1) High share of younger generations with high education and/or income levels. Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: To what degree have your purchasing behavior and choices shifted towards buying more products over the past 5 years?; (N=10,281).

Shift in purchase behavior past 5 years (across countries)Attitudes towards sustainability | 1.2

Respondents indicating they have turned their way of living around to be sustainable form a small minority in all countries (1-10%). However, the degree of shift in purchasing behavior varies significantly by country.Purchasing behavior has most significantly changed in Austria (42%), Italy (41%), Spain (35%) and Germany (34%). The least change indicated was in Japan (83%) followed by Denmark (48%), Australia and USA (46%) and Sweden (45%).

No change Minor change Modest change Significant changeTotal lifestyle

change

37%

24%

17%

18%

15%

14%

15%

21%

7%

13%

13%

12%

9%

8%

11%

7%

3%

48%

24%

29%

26%

25%

28%

30%

25%

28%

19%

14%

14%

14%

15%

15%

13%

18%

10%

37%

37%

38%

41%

39%

35%

33%

40%

38%

43%

40%

42%

36%

32%

38%

34%

5%

10%

15%

15%

16%

16%

17%

20%

21%

26%

26%

27%

29%

35%

35%

33%

36%

1%

5%

2%

3%

2%

3%

2%

2%

3%

4%

5%

7%

6%

6%

7%

10%

8%

JapanDenmarkAustraliaNorway

NetherlandsUK

SwedenUSA

UAE¹France

SwitzerlandGermany

SpainItaly

AustriaChina¹Brazil¹

14

Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: To what degree does affect your current purchasing behavior and choices?; (N=10,281).

We see differences in how sustainability affects purchase decisions across generations. 33% of Millennials choose a sustainable alternative when available, whereas older generations are less likely to actively choose sustainable alternatives (24-29%).

Current purchasing behavior


Attitudes towards sustainability | 1.3

15

18%

15%

13%

15%

24%

23%

21%

22%

34%

33%

33%

35%

23%

26%

29%

24%

1%

3%

4%

4%

Baby Boomers

Generation X

Millennials

Generation Z

Assumption: Gen. Z not yet able to live up to sustainable attitude due to limited purchasing power

24%

24%

24%

Does not affect my purchasing behavior

Does not directly affect my purchasing behavior, but aware if sustainable

For certain categories, I only buy sustainable alternatives

I always choose sustainable alternatives when available

I only buy sustainable

alternatives, if not possible I

will not buy

Note: 1) High share of younger generations with high education and/or income levels. Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: To what degree does affect your current purchasing behavior and choices?; (N=10,281).

Current purchasing behavior (across countries)



16

Consistently, the numbers of respondents saying they only buy sustainable products and services is small (0-6%). However, this increases substantially when factoring in those that buy sustainable alternatives whenever possible.Many Italian (40%) respondents indicate they always choose a sustainable product or service when available. A high share of Japanese (68%) and Danish (55%) respondents indicate that sustainability does not affect their purchasing behavior.

15%23%

30%26%

17%14%

11%16%

20%14%

13%9%11%

10%6%7%

13%

28%24%

38%29%

23%27%

26%19%

22%18%

18%18%

21%25%

17%16%

17%

43%39%

10%24%

39%35%

38%37%

29%39%

38%40%

36%29%

37%31%

18%

12%13%

21%18%19%

21%23%

25%22%

27%28%

29%30%

32%35%

43%45%

2%1%0%

3%2%

3%2%2%

6%2%

3%3%3%3%

5%3%

6%

NetherlandsNorway

JapanDenmarkAustralia

UKSweden

FranceUSA

SwitzerlandGermany

SpainAustria

UAE¹Italy

Brazil¹China¹

Does not affect my purchasing behavior

Does not directly affect my purchasing behavior, but aware if sustainable

For certain categories, I only buy sustainable alternatives

I always choose sustainable alternatives when available

I only buy sustainable

alternatives, if not possible I

will not buy

Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: Who ado you believe are the most important actors to realize positive changes?; (N=10,281).

Consumers see themselves as the number one actor towards bringing positive environmental change (29%), closely followed by for-profit companies (22%) and international political actors (22%), all of which play key roles in advancing sustainability. To win with consumers, for-profit companies will need to act on growing sustainable trends while international political actors will set the global guidelines to establish a level playing field

Actors for positive change (towards sustainability)

29%

22%

22%

16%

8%

3%

Civil society (consumers)

For-profit companies

International political actors

National political actors

Non-profit organizations

Other



17

Results vary across countries and regions.In Asia, consumers (31%) and national political actors (30%) are seen as most important actors. In North America these are for-profit companies (25%) and consumers (23%), whereas in Europe these are consumers (29%) and international political actors (26%).

Note: 1) High share of younger generations with high education and/or income levels. Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: Who do you believe are the most important actors to realize positive changes to ? (N=10,281).

Actors for positive change (across countries)

19%

13%

13%

17%

18%

18%

35%

11%

16%

23%

9%

11%

8%

11%

24%

8%

10%

24%

21%

23%

14%

19%

29%

17%

29%

28%

27%

22%

29%

28%

23%

4%

26%

8%

20%

26%

34%

25%

20%

17%

19%

24%

21%

13%

27%

19%

22%

22%

29%

18%

17%

15%

14%

5%

16%

14%

8%

3%

7%

5%

6%

10%

6%

7%

7%

3%

8%

8%

21%

21%

23%

23%

24%

25%

26%

26%

26%

28%

29%

33%

33%

34%

36%

38%

55%

1%

5%

3%

4%

5%

3%

1%

3%

3%

3%

4%

1%

2%

2%

3%

2%

2%

UAE¹UK

NetherlandsUSA

AustraliaNorwayChina¹France

SwedenDenmarkGermany

SpainSwitzerland

AustriaJapan

ItalyBrazil¹



18

National political actors

International political actors

For-profit companies

Non-profit organizations

Civil society (consumers) Others

Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Aggregation of answers to Q: How important is sustainability to you when making purchasing decisions for the following?; (N=10,281).

In a vacuum, sustainability is an important purchase criterion for: 1) Energy/utilities (74%); followed by 2) Construction/home (66%), Consumer goods (63%), Travel and tourism (62%), Automotive (61%); and 3) Financial services (44%).

Importance of sustainability as purchase criterion


Importance of sustainability | 2.1

19

11%

4%

4%

3%

3%

2%

5%

10%

7%

6%

6%

5%

4%

7%

35%

28%

28%

28%

26%

20%

28%

27%

36%

36%

38%

39%

37%

35%

17%

25%

26%

25%

27%

37%

25%

Financial services

Automotive

Travel and tourism

Consumer goods

Construction/home

Energy/utilities

Total

Not important at all

Slightly unimportantNeutral

Slightly important

Extremely important

74%

66-61%

44%

Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: How important is sustainability to you when making purchasing decisions for the following?; (N=10,281).

In a vacuum, sustainability is an important purchase criterion for: 1) Energy/utilities (74%); followed by 2) Construction/home (66%), Consumer goods (63%), Travel and tourism (62%), Automotive (61%); and 3) Financial services (44%).

Importance of sustainability as purchase criterion (across sub-industries)

18%

9%

8%

8%

5%

4%

5%

6%

5%

4%

3%

3%

3%

3%

3%

2%

2%

2%

13%

10%

9%

9%

7%

7%

8%

8%

8%

6%

5%

5%

5%

4%

5%

4%

4%

3%

32%

37%

35%

35%

34%

35%

32%

31%

31%

31%

25%

25%

24%

24%

22%

21%

20%

19%

21%

27%

30%

30%

36%

35%

34%

34%

34%

37%

39%

38%

37%

41%

37%

41%

38%

37%

15%

16%

18%

19%

18%

19%

21%

21%

22%

22%

27%

28%

31%

28%

33%

32%

37%

38%

Cryptocurrencies

International remittances and currency withdrawals

Personal financial investments

Personal banking

Places to stay

Furniture

Holiday/vacation packages

On-demand private mobility

Beauty and personal care

Apparel / fashion / footwear

Home construction/renovation

Mobility via own means

Long-distance transportation

Electronics and household appliances

Local public transportation

Grocery and household shopping

Heating

Electricity



20

Not important at all

Slightly unimportant

NeutralSlightly important

Extremely important

Note: 1) High share of younger generations with high education and/or income levels. Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Aggregation of answers to Q: How important is sustainability to you when making purchasing decisions for the following?; (N=10,281).

Importance of sustainability as purchase criterion (across countries)



21

5%

7%

7%

6%

5%

5%

6%

7%

6%

6%

5%

4%

3%

3%

2%

3%1%

10%

8%

9%

8%

8%

8%

7%

7%

7%

7%

6%

7%

6%

4%

5%

4%

4%

36%

35%

32%

32%

30%

30%

30%

29%

29%

26%

28%

27%

26%

25%

21%

22%

22%

35%

32%

35%

33%

36%

34%

38%

31%

34%

33%

39%

37%

36%

38%

37%

31%

43%

13%

18%

17%

22%

21%

23%

19%

26%

24%

28%

22%

25%

29%

30%

35%

41%

30%

Japan

Norway

Netherlands

Denmark

Switzerland

Sweden

Australia

Austria

Germany

USA

France

UK

Spain

Italy

UAE¹

Brazil¹

China¹Not important at all

Slightly unimportant

NeutralSlightly important

Extremely important

Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: Imagine you are purchasing an item within the [Pipe: Category]. Please rank up to 5 of the following factors in order of importance.; (N=10,281).

50% of consumers rank sustainability as a top 5 value driver which demonstrates its increasing relative importance during the purchase process and the role it plays as a key differentiator in the overall value proposition.

Relative importance of sustainability versus other purchase drivers

29%

44%

45%

46%

47%

78%

50%

Financial services

Travel and tourism

Construction/home

Automotive

Consumer goods

Energy/utilities

Total

24%

30%

31%

32%

36%

41%

44%

44%

45%

45%

45%

45%

47%

49%

50%

53%

78%

79%

50%

Personal bankingCryptocurrencies

Personal financial investmentsInternational remittances and currency withdrawals

Place to stayApparel footware

FurnitureLong-distance transportation

Home construction/renovationHoliday/vacation package

Electronics and household appliancesOn-demand private mobility

Mobility via own meansLocal public transportation

Grocery and householdBeauty personalcare

HeatingElectricity

Total



22

Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: When considering purchasing an item within Category, which elements of environmental sustainability are most important to you?; For illustrative purposes, following subcategories were used: Goods (construction/home), consumables (grocery/household shopping), energy/utilities (electricity), travel and tourism (long distance transportation), automotive (mobility via own means).; (N=10,281).

A lack of in-depth education causes consumers to use defaults or proxies when making sustainable decisions. For example, consumers use the lifespan or durability of a product as a proxy for sustainability within consumer goods, automotive and construction/home. Similarly, they draw parallels to sustainability through raw materials used and emissions generated for energy/utilities, and the offsetting of emissions for travel and tourism.

Importance of defaults or proxies for sustainability77

% 79%

85%

82% 84

%

100%

75%

97% 10

0%

79% 81

%

78%

95%

76%

100%

89%

82% 83

%

82%

98%

87%

83%

88%

91%

87% 89

%

92%

100%

100%

100%

100%

Total Financial services Travel and tourism Construction/home Automotive Consumer goods Energy/utilities



23

Offsetting emissions Emissions/pollution Packaging/waste Recyclability/reusability Lifespan/durabilityRaw materials/resources

Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: Imagine you are purchasing an item within [Pipe: Category] hat meets the environmental sustainability expectations that are most important to you. Which of the following best describes your willingness-to-pay for this item?; Q: Imagine you are purchasing an item within [Pipe: Category] hat meets the environmental sustainability expectations that are most important to you. Which of the following best describes your willingness-to-pay for this item?; N=10,281).

A higher share of Generation Z (39%) and Millennials (42%) are willing to pay for sustainability compared to Generation X (31%) and Baby Boomers (26%).

Share of respondents willing to pay (WTP) and average sustainability premium

In terms of how much, Gen. Z (32%) and Millennials (31%) are willing to pay over twice as large of a premium for sustainability in their products/services relative to Baby Boomers (14%) and a third more relative to Gen. X (21%).

39%

42%

31%

26%

34%

Generation Z

Millennials

Generation X

Baby boomers

Total


Willingness-to-pay for sustainability | 3.1 & 3.2

24

32%

31%

21%

14%

25%

Generation Z

Millennials

Generation X

Baby boomers

Total

Respondents WTP Average sustainability premium

Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: Imagine you are purchasing an item within [Pipe: Category] hat meets the environmental sustainability expectations that are most important to you. Which of the following best describes your willingness-to-pay for this item?; Q: Imagine you are purchasing an item within [Pipe: Category] hat meets the environmental sustainability expectations that are most important to you. Which of the following best describes your willingness-to-pay for this item?; N=10,281).

Share of respondents WTP and sustainability premium (across industries)

Willingness to pay a premium for sustainability is highest in consumer goods (38%), though the premium amount is lowest (22% premium). Of the people that are willing to pay a sustainability premium, WTP is highest for financial services (27% premium).



25

31%

31%

33%

35%

35%

38%

Energy /utiliies

Travel & tourism

Construction / home

Automotive

Financial services

Consumer goods

22%

25%

25%

25%

25%

27%

Consumer goods

Automotive

Travel & tourism

Energy /utiliies

Construction / home

Financial services

Respondents WTP Average sustainability premium

Note: 1) High share of younger generations with high education and/or income levels. Source: Simon-Kucher & Partners; Global Sustainability Study 2021; Q: Imagine you are purchasing an item within [Pipe: Category] hat meets the environmental sustainability expectations that are most important to you. Which of the following best describes your willingness-to-pay for this item?; Q: Imagine you are purchasing an item within [Pipe: Category] hat meets the environmental sustainability expectations that are most important to you. Which of the following best describes your willingness-to-pay for this item?; N=10,281).

Share of respondents WTP and sustainability premium (across countries)

17%

24%

26%

26%

29%

30%

31%

32%

32%

33%

33%

35%

38%

42%

44%

46%

52%

Japan

Norway

Australia

Netherlands

France

Sweden

Denmark

Germany

Austria

Switzerland

UK

Spain

Italy

USA

UAE¹

Brazil¹

China¹



26

Respondents WTP

16%

16%

17%

17%

17%

18%

18%

21%

22%

22%

24%

25%

25%

28%

34%

37%

37%

Italy

Switzerland

Austria

Japan

Spain

Germany

Netherlands

France

Australia

Sweden

China¹

Norway

UK

Brazil¹

Denmark

UAE¹

USAAverage sustainability premium

Agenda

Executive summary

About the study




Simon-Kucher & Partners

Source: Simon-Kucher & Partners

Simon-Kucher profile

Globally renowned consultancy for top-line improvement

Facts and figures

What others say about us

CapitalMarketing, Sales, Pricing

brand eins/Statista Marketing, Sales, Pricing

Financial TimesMarketing, Brand, Pricing

MT MagazineStrategy Consulting

ForbesMarketing, Brand, Pricing, Sales

Finanz und WirtschaftMarketing, Sales

2021

2018 20182021

20182018

This is what Simon-Kucher is all about. We boost our clients' revenue and profits by optimizing their pricing, sales, marketing, and strategy.

We advise clients on how to improve their top lines with digital technologies, from big data analytics, machine learning, and artificial intelligence to tailor-made pricing and sales tools.

Simon-Kucher Digital

We have worked for over 30 unicorns, such as Asana, Stripe, and Uber.

TopLine Power®

THE unicorn advisors

Pricing strategy specialists.The Wall Street Journal

Simon-Kucher was a great partner during our research phase. We appreciated their support, expertise, and partnership throughout the process of developing Uber Rewards.

Barney Harford, former COO, Uber

No one knows more about pricing than Simon-Kucher.

Philip Kotler, marketing guru

Simon-Kucher is a down-to-earth consultancy, highly committed and trustworthy. They deliver what they promise.

Member of the executive board,Bank Julius Baer & Co. Ltd.

1985 1990 1995 2000 2005 2010 2015 2020 2025

Global locations: 41 offices in 26 countries, >1,400 employees

1990 1995 2000 2005 2010 2015 2020

Avg. annual growth: +17% Revenue in 2020: €362m/$406m

Number of projects per year >1,300


Clear focus: TopLine Power®

PricingPricing excellence programs // Pricing strategies for products, business units, and companies // Innovative price and revenue models // Launch and post-launch pricing // Pricing organization and processes // Data-driven pricing // Digital pricing // Dynamic pricing // AI and ML in pricing // Pricing for digital businesses //

SalesSales organization and efficiency // Omnichannel strategies // Sales force effectiveness // Key account management // Channel management // Discount/ bonus systems // Digital sales force optimization // Digital sales tools and solutions // Incentive structures // Customer-centric sales organizations // Cross- and upselling strategies and tools //

MarketingMarket/customer segmentation // Portfolio design // Branding and value communication // Customer lifetime value in a digital world // Marketing efficiency and effectiveness // Digital loyalty programs // Personalization strategies in a digital world // CRM strategies // Optimizing online marketing //

StrategyGrowth strategies // Scenario planning // Digital business models // Digital monetization strategies // Competition strategies // Market due diligence // Go-to-market strategies // Effective and sustainable strategy implementation // Monetizing innovations // Subscriptionization strategies //


Core research team and study authors: Shikha Jain, Partner, Boston Jessica Sansom, Head of Campaigns, London Rachel Pope, Senior Communications & Marketing Manager, Boston Olivier Hagenbeek, Manager, Amsterdam

Tim Legerstee, Senior Consultant, Amsterdam Falk Wiemer, Senior Consultant, Amsterdam Caroline Kastbjerg, Senior Consultant, Copenhagen Bobby Shogren, Consultant, San Francisco

Source: Simon-Kucher & Partners

Thank you to everyone who contributed to this research

Additional contributors: Antoine Weill, Partner, Frankfurt Maximilian Biesenbach, Partner, Cologne Nicolai Broby Eckert, Partner, Copenhagen Othmar Schwarz, Partner, Vienna Rosalind Hunter, Partner, London Sebastian Strasmann, Partner, Cologne Thomas Haller, Partner, Vienna Fabian Farkas, Senior Director, Cologne Florian Dall, Director, Vienna Alexander Dietz, Manager, Munich Charles Griffiths-Lambeth, Senior Consultant, London Julia Buchner, Senior Consultant, Vienna

Lukas Richter, Senior Consultant, Zurich Alexander Schulte, Consultant, Hamburg Isabel de Heus, Consultant, Amsterdam Lisanne Vermeer, Consultant, Amsterdam Rodolphe Deckers, Consultant, Geneva Emily Viehman, Senior Market Research Coordinator, Houston Lynn Pellicano, Senior Market Research Manager, New York


www.simon-kucher.com

AfricaCairoAmericasAtlanta, Boston, Chicago, Houston, Mexico City, New York, San Francisco, Santiago de Chile, São Paulo, Silicon Valley, TorontoAsia-Pacific/the Middle EastBeijing, Dubai, Hong Kong, Shanghai, Singapore, Sydney, TokyoEuropeAmsterdam, Barcelona, Berlin, Bonn, Brussels, Cologne, Copenhagen, Frankfurt, Geneva, Hamburg, Istanbul, London, Luxembourg, Madrid, Milan, Munich, Oslo, Paris, Stockholm, Vienna, Warsaw, Zurich

Africa Americas Asia-Pacific/the Middle East

Documents

Transcript of Africa Americas Asia-Pacific/the Middle East